Denmark - OECD 2016 economic survey - May 31, 2016

In the 2016 survey the organisation looks back at the flexicurity model that was largely developed through the 1990s in its current form. A substantial decrease in the duration of unemployment benefits and a much stronger emphasis on active labour market policies was done to promote return to work through upskilling and to ensure that the unemployed are available to the labour market. The OECD also states that the housing boom of the late 2000s contributed to a misallocation of resources in the economy, and ‘it is likely that some of that misallocation continues given the large size of the financial sector and its wage premiums’.